Consumers Are More Likely to Perceive the Value of a Product

question 3

Multiple Choice

Consumers are more likely to perceive the value of a product to be less than its cost if:

• A)the product's price is set too high.
• B)the product's manufacturer gains very little profit from the product.
• C)the product has an inelastic demand.
• D)the product's demand and supply attain the state of price equilibrium.

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Definitions:

Wheel of Innovation

A conceptual model illustrating the process of innovation in stages, from idea creation to implementation and diffusion.

Scaling

The process of adjusting or adapting the size, scope, or capabilities of something to accommodate different levels of demand or operational requirements.

Reverse Innovation

A strategy where products are initially developed for emerging markets and then adapted for more developed markets.

Disruptive Innovation

A term describing innovations that fundamentally change industry dynamics by introducing simplicity, convenience, accessibility, and affordability.